Yesterday, Toyota systems issued an official press release regarding their collaboration with a Japanese crypto exchange. The IT arm of the world-renowned Toyota Motor Corporation has said that they will be working with DeCurret to test out the Toyota Digital Currency
The announcement brought to light the new venture collaboration with the Japanese cryptocurrency exchange DeCurret. According to the press release, a new branded Toyota digital currency was being developed.
The Toyota Digital Currency Pilot
Toyota’s move to join with the crypto exchange was for the benefit of their employees. According to Toyota Motor Corporation, the digital currency would be part of employee rewards.
The launch of the digital currency pilot was the first of its kind. The pilot phase will involve the development of the protocol, as well as its testing.
At this stage of the test, around 2500 employees will be involved. These employees will be from Toyota Systems.
According to the announcement, the participating employees will also receive the same digital currency as compensation. In addition, they may be able to use the currency in exchange for gifts catalog or benefits points. However, Toyota Systems clarified that the Toyota digital currency would not be replacing the usage of the Japanese yen.
The responsibility of how issuing the Toyota digital currency will be under the responsibility of Decurret. The exchange is set to run the digital currency pilot using their proprietary blockchain-based platform.
Toyota’s pilot system will act as a test model, with tested areas will including the issuance of payment to large groups and peer-to-peer blockchain model scalability. The purpose of the pilot will be mainly in testing blockchain-based digital currency performance on a large scale.
Toyota Motor Corporation had previously launched the Toyota Blockchain lab in April 2019. This move has propelled the research towards discovering the potential that lies in blockchain technology.
Future Blockchain Expectations from Toyota
On March 16, 2020, Toyota Financial Services and Toyota Motor Corporation launched the cross-group virtual organization. The collaboration seems to set the pace for developing more use cases for blockchain technology. Moreover, Toyota’s blockchain lab is set to continue with trials globally.
The digital currency pilot is the first move towards blockchain technology acceptance. Although Toyota does not intend to replace the Japanese yen, the new form of payment will signal a new era of blockchain-based payments. With that in mind, the Cross group virtual organization will likely be able to drive more usage and adoption of blockchain technology.
Meanwhile, another Japanese subsidiary, LINE, had recently decided to build a custom CBDC for several countries.